Determining the Right Budget for your Campaign

Help determine the right media budget for your Ad Campaign

Written by Diane Twitchell Updated over a week ago

Last updated: 5/14/18

It's important to allocate the right amount of budget for your campaign in order for it to be effective. Set your budget too low, and your campaign will be ineffective because you won't serve enough impressions to your users to make an impact. Set your budget too high, and your campaign won't spend it all and that's budget we're sure you could utilize on another marketing effort.

Below is a simple formula you can use as a starting place to determine how much to budget to designate for your campaigns. For this formula you'll need to know two things:

The size of your Target Segment(s).

The number of impressions you'd like each prospect to see.

There is a lot of advice out there about how to determine the budget and number of impressions needed for a successful campaign and we encourage you to do your due diligence. This article is not meant to be the end all be all of campaign budget advice, but it should give you a reliable and repeatable starting place for setting campaign budgets.

Our customers have told us that they tend to see their prospects convert after they've seen around 10 ad impressions so we're going to use this number in our formula.

Size of Target Segment(s) x 10 = # of impressions to serve

Once you know the total number of impressions to serve it's time to convert this to a target budget value, 100,000 impressions = about $500 so

Other Factors

What type of campaign are you running? Is it a search keyword, lookalike, or site retargeting campaign? Each one should be allocated a different amount. We recommend the majority of your budget be allocated to registration driving, site retargeting campaigns. For example, a campaign retargeting the "visitors" section of your website, urging them to register for your event, and tracking event registrations as the conversion Goal should be allocated more budget than a search keyword campaign that is growing the number of your site visitors, who aren't necessarily spending their money and registering for your event.

How many ads do you want a user to see each day? There are 3 default Exposure Intensities when launching a campaign - light, medium, and heavy. They show an estimated of 3, 7, and 14 impressions per user, per 8 hours. If your campaign is set to "Heavy Exposure," you may want to allocate more budget so you can ensure the majority of ads will be shown to each user.

Be sure to reference the Campaign Ideas article to see our recommended campaign types, and build out your Project Plan. If you have a dedicated Customer Success Manager, they can also help you allocate appropriate budgets for each campaign.

Campaign Overspend

Why might a campaign overspend? Occasionally, campaigns will spend more than their configured budgets by up to 5%. This happens when the campaign is showing ads and spending faster than can be reported back to Feathr. If you suspect your campaign has overspent beyond what is reasonable, contact [email protected], and we'll work to correct it.